The Analytical Overview of the Main Currency Pairs on 2017.12.27

The EUR/USD currency pair

Technical indicators of the currency pair:

Prev Open: 1.18609

Open: 1.18581

% chg. over the last day: +0.09

Day's range: 1.18776 – 1.18846

52 wk range: 1.0341 – 1.2069

Trading activity on EUR/USD is still low. At the moment, the currency pair is in a sideways trend. The key trading range on the EUR/USD currency pair is 1.18350–1.18850. Investors continue to study the details of the tax reform in the US, weighing its pros and cons. According to expectations, the implementation of the reform, as well as an increase in the rate of the Fed will support the US dollar. We recommend opening positions from key support and resistance levels.

The news feed on the US economy:

- The index of consumer confidence at 17:00 (GMT+2:00);

- The index of pending sales in the real estate market at 17:00 (GMT+2:00).

The signals of the indicators are different. The price has fixed above 50 MA and 200 MA, which indicates the power of buyers.

The MACD histogram is in the positive zone, but below the signal line, which gives a weak signal to buy EUR/USD.

Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which gives the signal to sell EUR/USD.

Trading recommendations

Support levels: 1.18350, 1.17800, 1.17400

Resistance levels: 1.18850, 1.19250

At the moment, the EUR/USD quotes are being traded in a flat. If the price fixes above the resistance level of 1.18850, we recommend you to consider purchases. The movement is tending potentially to 1.19350-1.19550.

Alternatively, the EUR/USD quotes may drop to 1.18350-1.18000.

When tracking the positions, we recommend using a trailing stop.

The GBP/USD currency pair

Technical indicators of the currency pair:

Prev Open: 1.33731

Open: 1.33737

% chg. over the last day: +0.09

Day's range: 1.33877 – 1.33942

52 wk range: 1.1450 – 1.3618

The GBP/USD currency pair is still in a sideways trend. The key support and resistance levels are 1.33700 and 1.33950. The positions must be opened from these marks. Investors expect additional drivers.

The news feed on the UK economy is calm.

Indicators do not send accurate signals. The price is above 50 MA and 200 MA, which indicates a bullish sentiment.

The MACD histogram is in the positive zone, above the signal line, which signals the purchase of GBP/USD.

Stochastic Oscillator is in the overbought zone, the %K line crosses the %D line. There are no signals yet.

Trading recommendations

Support levels: 1.33700, 1.33500

Resistance levels: 1.33950, 1.34150

If the GBP/USD quotes begin to rise and fix above the resistance level of 1.33950, we recommend you to consider purchases. The target movement level is 1.34450-1.34650.

An alternative may be the fall in the GBP/USD quotes to 1.33500-1.33300.

The USD/CAD currency pair

Technical indicators of the currency pair:

Prev Open: 1.26997

Open: 1.26820

% chg. over the last day: -0.22

Day's range: 1.26561 – 1.26710

52 wk range: 1.2059 – 1.3795

At the moment, there is a downtrend on the USD/CAD currency pair. In the near future, a technical correction is possible. The key resistance and support levels are: support – 1.26500, resistance – 1.27250. Positions must be opened from key levels. We expect economic reports from the USA.

The news feed on Canada's economy is calm.

The price has fixed below 50 MA and 200 MA, which signals the power of sellers.

The MACD histogram is in the negative zone and continues to decline, which gives a signal to sell USD/CAD.

Stochastic Oscillator is in the oversold zone, the %K line crossed the %D line. There are no signals yet.

Trading recommendations

Support levels: 1.26500

Resistance levels: 1.27250, 1.27750

If the reports from the US turn out to be positive, the USD/CAD quotes may rise. The movement is tending potentially to 1.27250-1.27500.

If the price fixes below the support level of 1.26500, it is necessary to consider sales of USD/CAD. The target movement level is 1.26000-1.25800.

The USD/JPY currency pair

Technical indicators of the currency pair:

Prev Open: 113.073

Open: 113.221

% chg. over the last day: -0.04

Day's range: 113.161 - 113.198

52 wk range: 99.53 – 118.67

There is an ambiguous technical pattern on the USD/JPY currency pair. The quotes are in a sideways trend. The key support and resistance levels are 113.100 and 113.350, respectively. The positions must be opened from these marks.

Today, the news feed on the Japanese economy is calm. We advise paying attention to reports from the United States.

Indicators do not send accurate signals. The price has fixed between 50 MA and 200 MA.

The MACD histogram is in the negative zone and continues to decline, which indicates a bearish sentiment on USD/JPY.

Stochastic Oscillator is in the oversold zone, %K line is crossing %D line. There are no accurate signals.

Trading recommendations

Support levels: 113.100, 112.850, 112.550

Resistance levels: 113.350, 113.60

If the statistics from the US is optimistic, purchases may prevail on USD/JPY. The target movement level is 113.600-113.850.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer,
and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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